Export Compliance Daily is a service of Warren Communications News.

China Freight Rail Couplers: Commerce Issues AD Duty Final Determination

The Commerce Department issued its final determination in the antidumping duty investigation on freight rail coupler systems from China (A-570-145). Cash deposit rates set in this final determination take effect May 30, the date the final determination is set to be published in the Federal Register.

Sign up for a free preview to unlock the rest of this article

Export Compliance Daily combines U.S. export control news, foreign border import regulation and policy developments into a single daily information service that reliably informs its trade professional readers about important current issues affecting their operations.

The next step is for the International Trade Commission to make its final injury determination, currently scheduled for July 6, Commerce said in a fact sheet. If the ITC finds injury, Commerce will issue an antidumping duty order and duties will be made permanent. If the ITC finds no injury, the investigation will be terminated and all cash deposits will be refunded.

Commerce issued its final determination May 19 in the concurrent CV duty investigation on freight rail coupler systems from China, setting CV duty cash deposit rates at 265.99% for all Chinese exporters. The ITC is scheduled to issue its final injury determination in the CV duty investigation June 29. The ITC has also suspended liquidation and set AD duty cash deposit requirements in a concurrent investigation on freight rail couplers from Mexico (see 2305020045).

Critical Circumstances for All Chinese Companies, Cash Deposits Retroactive 90 Days

Commerce continued to find that all Chinese companies under investigation increased their exports to the U.S. in the run-up to the preliminary determination. Commerce will continue to retroactively suspend liquidation for all Chinese companies back to 90 days before the preliminary determination, i.e., on or about Dec. 13, 2022.

Estimated AD Cash Deposit Rates

Commerce will instruct CBP to continue to suspend liquidation for AD purposes and collect cash deposits for subject merchandise entered on or after May 30 as follows (unchanged from rates set in the preliminary determination):

Exporter/ProducerAD RateAdjusted*
China-Wide Entity169.9%139.49%

* As adjusted for export subsidies found in the concurrent CV duty investigation. This rate is the AD duty cash deposit rate while CV duty suspension of liquidation remains in effect.

Commerce determined that because no companies are eligible for a rate separate from the China-wide entity, all exporters of Chinese freight rail couplers are found to be part of the China-wide entity, upholding its preliminary finding.

(The period of investigation is 01/01/22 - 06/30/22. See Commerce’s notice for more information, including the scope of the investigation, detailed instructions on cash deposit rates, etc. See 2305190071 for a summary of the preliminary AD determination.)